The Forethought Income 125+ is a single premium deferred annuity that has a 10-year surrender charge duration, and a provision for MVA (Market Value Adjustment). The Income 125+ is designed for folks who’re looking to create a solid retirement funding plan, or a long-term accumulation plan. The Income 125 fixed index annuity offers a significant 25% income bonus on premiums paid. This bonus is applied to the Guaranteed Income Account Value and is not available on cash surrender.
Income 125+ Annuity Specifications
Issue Ages
The issue ages for this annuity product is 0-85 years
Premium Thresholds
The minimum premium amount for this annuity is $25,000, while the maximum premium amount is $1 million. Higher premiums may be accepted upon pre-approval.
Income Bonus
An income bonus is offered at issue of this annuity. This guarantees steady growth of the Income Base (Guaranteed Lifetime Income Account Value). At the end of each contract year (and for the first 10 years), your IncomeBase grows at a 5% rate.
Interest Crediting Methods
- Fixed rate, credited daily and declared annually.
- Yearly point-to-point with cap and based on the S&P 500* Index.
- Monthly point-to-point with cap and based on the S&P 500 Index.
Annuity Fees
The Guaranteed Lifetime Income Benefit (GLIB), which is included for a yearly fee of 0.55%. Other fees and charges might be necessary.
Withdrawal Provisions
After the first year, owners of the Income 125+ fixed index annuity from Forethought (a Global Atlantic subsidiary) can withdraw up to 10% of their contract value without any applicable withdrawal charges. Any amount withdrawn above this threshold is subjected to a fee according to the following surrender charge period.
| Contract Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 |
| Charge (in %) | 12 | 12 | 11 | 10 | 9 | 8 | 7 | 6 | 4 | 2 | 0 |
Systematic withdrawals are available.
Guaranteed Lifetime Income Benefit
The yearly GLIB (Guaranteed Lifetime Income Benefit) amount equals a set percentage that’s referred to as the Income Benefit Factor. This rider comes at an additional annual fee of 0.55%.
Increased Death Benefit Guarantee Rider
This optional rider guarantees that the death benefit is equal to or less than the initial premium amount paid, plus 5% premiums, minus withdrawals, till the age of 85 or till the death benefit amounts to 200% of premiums paid.
Other Riders
The Income 125+ annuity automatically offers both the nursing home and terminal illness waivers.
Unique Advantages
- Provides good potential for growth available for withdrawals, surrender or death benefit payouts.
- 5% annual growth that’s guaranteed each contract year through the first 10 contract years or till activation of the GLIB.
- 25% Income Bonus is available.
Get your Annuity Right
Fixed index annuities are meant for people who’re looking to put together a feasible financial plan for future use. If you’re interested in the Income 125+ annuity or would like to compare it to other fixed index annuities, talk to one of our financial advisors.
